Crypto Dispute Leads to Kidnapping Torture in SoHo

A crypto entrepreneur from Kentucky has been arrested and faces severe charges after allegedly kidnapping and torturing an Italian tourist with a chainsaw and other brutal methods to force him to hand over crypto account passwords. The suspect, John Woeltz, was taken into custody on Friday after the Italian victim managed to escape from a luxury SoHo townhouse, where he had allegedly been held captive and abused for more than two weeks.

The victim, a 28-year-old man, told investigators that he was Woeltz’s former business partner. A falling out led him to leave the country, but he flew back to the US on May 6, reportedly at Woeltz’s urging, and went straight to the brownstone on Prince Street, where the ordeal began. Once police received the report, officers from the 5th Precinct rushed to the Prince Street property and uncovered a chilling scene with bloodstains, broken furniture, and disturbing evidence strewn throughout the multi-million-dollar rental.

There was a Polaroid photo showing the victim bound and gagged with electrical cords, and a picture of him tied to a chair with a gun pointed at his head. The victim had been allegedly Tased, pistol-whipped, and forced to take cocaine, while Woeltz threatened to cut off his limbs with an electric chainsaw unless he handed over access to his crypto holdings. Police also recovered several items from the scene, including a chainsaw with apparent blood residue, a bulletproof vest, night vision goggles, and a firearm. An Apple AirTag was allegedly placed around the victim’s neck to track his movements and deter escape.

The victim was transported to Bellevue Hospital for treatment, where his condition was confirmed to be stable. Woeltz was arrested at the scene, reportedly wearing a bathrobe. A number of charges are being brought against him, including two counts of second-degree assault, a first-degree kidnapping, an unlawful imprisonment in the first degree, and criminal possession of weapons in the first degree. Police have also arrested Beatrice Folchi, believed to be involved in the kidnapping and torture. A third male suspect remains at large, with law enforcement actively searching for him.

This case highlights the dark side of the crypto industry, where disputes over digital assets can escalate into violent crimes. The use of extreme methods, such as torture and the threat of dismemberment, underscores the desperation and ruthlessness of those involved. The incident also raises questions about the security and regulation of crypto holdings, as well as the potential for such disputes to turn deadly. The ongoing investigation and the search for the third suspect will be closely monitored as the legal process unfolds.